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Facebook is Willing to Trade Their Users for Data from Banks

<p>Yet again&comma; the social media giant Facebook has been caught with making plans to disrespect its users&&num;8217&semi; privacy&period;&nbsp&semi;<&sol;p>&NewLine;<p>According to a recent <em>Wall Street Journa<&sol;em>l report&comma; Facebook has asked U&period;S&period; banks to share detailed data on their customers in exchange for participating in a new service Facebook is planning to roll out to users&period;&nbsp&semi;<&sol;p>&NewLine;<p>Facebook is aiming to expand its Messenger platform to include more buying and selling of goods and services&period;&nbsp&semi;<&sol;p>&NewLine;<p>So far&comma; the social network has approached Wells Fargo&comma; JPMorgan Chase&comma; Citigroup&comma; and U&period;S&period; Bancorp &&num;8220&semi;to discuss potential offerings it could host for bank customers on Facebook Messenger&comma; said people familiar with the matter&period;&&num;8221&semi;&nbsp&semi;<&sol;p>&NewLine;<p>Facebook Messenger has about 1&period;3 billion monthly active users&period; PayPal partner with Facebook last year and allows users to send money through messenger&period;&nbsp&semi;<&sol;p>&NewLine;<p>The social network is considering implementing a feature that shows users their checking account balances&comma; along with offering fraud alerts through Messenger&period;<&sol;p>&NewLine;<p>According to the <em>WSJ<&sol;em> report&comma; &&num;8220&semi;Facebook asked banks for information about where its users are shopping with their debit and credit cards outside of purchases they make using Facebook Messenger&period;&&num;8221&semi;<&sol;p>&NewLine;<p>As banks struggle to compete with payment sharing apps like Venmo&comma; they are actively looking to reach more customers digitally&period;&nbsp&semi;<&sol;p>&NewLine;<p>Facebook&comma; on the other hand&comma; is trying to recover from the recent Cambridge Analytica scandal&comma; where the firm accessed up to 87 million users&&num;8217&semi; data from Facebook without their permission&period;&nbsp&semi;<&sol;p>&NewLine;<p>This has ignited a fiery debate among lawmakers and has influenced the passing of regulations to better protect users&&num;8217&semi; internet privacy&period;&nbsp&semi;<&sol;p>&NewLine;<p>In order to save face&comma; Facebook and other tech companies are cooperating with lawmakers to create new privacy laws&period;&nbsp&semi;<&sol;p>&NewLine;<p>Facebook said that&nbsp&semi; it is &&num;8220&semi;working with policymakers to craft privacy legislation that protects consumers&comma; ensures people are in control of their information and promotes responsible innovation&period;&rdquo&semi;<&sol;p>&NewLine;<p>The Commerce Department has been holding meetings on how to handle the privacy issue&period;&nbsp&semi;<&sol;p>&NewLine;<p>&ldquo&semi;The goal of this outreach is to formulate a set of principles that enjoy broad support&comma; with the objective of setting high level goals for protecting privacy while promoting prosperity&comma;&rdquo&semi; said a senior administration official&period;&nbsp&semi;<&sol;p>&NewLine;<p>But after the recent privacy scandal&comma; banks are hesitant to partner with Facebook&period;<&sol;p>&NewLine;<p>The social media giant claims that the data given by banks won&&num;8217&semi;t be used for ad-targeting and would not be shared with third-parties&period;&nbsp&semi;<&sol;p>&NewLine;<p>&ldquo&semi;We don&rsquo&semi;t use purchase data from banks or credit card companies for ads&comma;&rdquo&semi; said Elisabeth Diana&comma; a Facebook spokeswoman&period; &ldquo&semi;We also don&rsquo&semi;t have special relationships&comma; partnerships&comma; or contracts with banks or credit card companies to use their customers&rsquo&semi; purchase data for ads&period;&rdquo&semi;<&sol;p>&NewLine;<p>However&comma; JPMorgan spokeswoman Trish Wexler said that the company is not &&num;8220&semi;sharing our customers&rsquo&semi; off-platform transaction data with these platforms&comma; and have had to say no to some things as a result&period;&rdquo&semi;<&sol;p>&NewLine;<p><strong>Author&&num;8217&semi;s note&colon;<&sol;strong> I highly doubt that Facebook wouldn&&num;8217&semi;t use banking data to target users with relevant ads&period; These companies&comma; especially Facebook&comma; have no respect for our privacy or personal data&period; They just see users and their data as a way to make more ad money&period;&nbsp&semi;<&sol;p>&NewLine;

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